HCA withdraws from Jefferson Parish process to run East, West Jeff hospitals

HCA's MidAmerica Division announced Thursday that it has decided to withdraw all proposals to lease and operate East Jefferson General Hospital and West Jefferson Medical Center and will no longer participate in the selection process.

Jefferson Parish Council members have been discussing the decision for over a year after the boards of the two hospitals were split on recommendations over who should run the two publicly owned hospitals.

"This process has simply gone on for too long, with no appearance of resolution and no end in sight. We are not prepared to continue in this process," said Mel Lagarde, HCA Mid America Division President. "We appreciate the efforts of the Hospital Boards and the Parish Council, as well as the support we've received from many in the community throughout this process. We wish you well as you continue to evaluate options for the future of your hospitals."

HCA's MidAmerica Division operates Lakeview Regional Medical Center in Covington, and along with its partner Tulane University operates the Tulane Medical Center and Tulane-Lakeside Hospital in the greater New Orleans area.

Last year, parish leaders received a 22-page document from Kaufman Hall, the consulting firm hired by the parish at a cost of $1.3 million to pick one company – instead Kaufman Hall recommended two companies in late October for the two hospitals. Council members said they were surprised because the consultant recommended one suitor previously in closed-door meetings.

The goal in the lease process was to award management of both medical facilities to one group for the next 30 years, but a split among the two hospital boards prompted some to endorse separate management deals.

The two boards sided with two separate entities -- Hospital Corp. of America, based in Tennessee, and local nonprofit Louisiana Children’s Medical Center. Ochsner is also is a finalist as well.

The medical staff of East Jefferson General Hospital endorsed Hospital Corp. of America as its choice for managing the publicly owned hospital. West Jefferson Medical Center, however, preferred Louisiana Children’s Medical Center.

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